There are a lot of fundamental reasons why buoyant interest rates are a good thing for financial firms such as JPMorgan Chase
(JPM), but none of those matter in the immediate term. Instead, it's the price action that's signaling a buying opportunity in shares right now.
>>5 Rocket Stocks Worth Buying This Week
JPMorgan is currently forming an ascending triangle pattern, a bullish price setup that's formed by horizontal resistance above shares at $59.50, and uptrending support to the downside. Basically, as JPM bounces in between those two technical price levels, shares are getting squeezed closer and closer to a breakout
above resistance. When that $59.50 price tag gets taken out, we've got our buy signal.
has been making higher lows in JPM since November. With the broad market showing indications of a correction forthcoming, that relative strength uptrend is an important confirmation of buying pressure in this stock. When the broad market is in corrective mode, relative strength (not to be confused with RSI) is the single most important indicator you can have in your technical toolbox.
Check Out Our Best Services for Investors
Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts